AMERICAN Airlines chairman and CEO Gerard J. Arpey has dedicated Phase I of a two phase state-of-the-art $1.1 billion terminal at John F. Kennedy International Airport.

The terminal features a dramatic, 57,000 square-foot ticketing lobby with a 65-foot ceiling where 67 ticketing positions will serve the needs of 8.5 million domestic and international travelers every year. Seven thousand construction professionals worked on the new terminal that will be one of the principle bases of operations for the 8,500 American Airlines employees in the metropolitan area.

The city’s Industrial Development Agency approved more than $1 billion in tax exempt bonds to finance the project.

I congratulate American Airlines on its new terminal at JFK International Airport. This terminal is a tremendous and a wise investment in New York City. We are the number one American city for both domestic and international travelers and I am pleased that American Airlines is making such a sustained commitment.

With 8,500 employees, $3.8 billion in economic activity, the employment of more than 7,000 construction workers and a generous history of community involvement, American Airlines is an excellent corporate citizen.

That new lobby is linked to Concourse C by a 250-foot underground tunnel served by escalators and moving walkways. The terminal offers an automated baggage-handling system with four baggage carousels, each with up to 250 linear feet for baggage pickup. It also includes an 11,000 square-foot Admirals Club, with seating for 185 people.

The new Admiral’s Club features vintage photographs depicting everything from construction workers atop skyscrapers to historic games at Yankee Stadium, Ebbetts Field and the Polo Grounds. The floor in the shower area is embedded with replicas of New York City manhole covers.

The new terminal will begin operations on Aug. 24. The terminal will operate the domestic flights now in American’s current Terminal 9, which will close to accommodate Phase II construction.

In addition, international departures to Tokyo, Brussels, Aruba and Bermuda will begin after Labor Day, with service to the Dominican Republic expected by year’s end. International arrivals at the new terminal will await the establishment of a U.S. Customs and Border Patrol facility in the main terminal, expected in 16-18 months.

When Phase II of construction is completed in the spring of 2007, the entire terminal will cover 1.5 million square feet and provide 36 gates — 27 for jet operations, 19 of which can support arriving international flights — and nine for regional jets. Ten security lanes will be able to process nearly 1,800 passengers an hour and 24 Self-Service Check-In kiosks will be provided, together with eight curbside check-in positions.

The new terminal is dedicated to American local employees and a plaque with the following inscription was unveiled at the ceremony: “American Airlines today dedicates its new Kennedy International Airport gateway terminal to the tens of thousands of American employees who have so proudly served the region’s air travelers for nearly 80 years. Through the dedication and commitment of these employees, American has blazed many trails, introducing the nation’s first cross-country jet service from JFK in 1959 and establishing New York as one of the world’s leading air transport centers.”

American Airlines has served the New York market for more than 70 years. The airline supports more than 128,000 jobs in the New York metro area and generates $3.8 billion annually in economic activity. American contributes to more than 50 charitable, community and cultural organizations in the New York area, providing countless volunteer hours, contributions, sponsorships and transportation to these organizations.